The Federal Reserve System controls the use of intraday Federal Reserve Credit. During the business day the balance in a banking institution's master account may become negative. The Federal Reserve developed a Reporting and Pricing System to monitor the institution's negative balance activity and to calculate negative balance charges. The reporting and pricing system captures all debits and credits resulting from the banking institution's payment activity and calculates end-of-minute account balances using the daylight negative balance posting rules. The Reporting and Pricing system generates reports at the end of each day and at the end of each two-week reserve maintenance period. Daily reports are used by Reserve Bank monitoring staff and by some banking institutions. The two-week reports show relevant monitoring information such as peak daily negative balances for the period, negative balances in excess of net debit cap, book-entry negative balances, non-Fedwire account activity, end-of-minute account balances for a particular day, and related ratios, such as the peak daily negative balance relative to net debit cap. Reserve Banks may use the reporting and pricing system reports to assess daylight negative balance charges against a banking institution.
The reporting and pricing system provides real-time access to intra-day account balance and daylight negative balance information for master account holders and subaccount holders. It also provides available funds balance information for master account holders (e.g., users). The reporting and pricing system gives banking institutions the ability to point and click in order to drill-down from a summary total to an individual transaction, as well as search for a specific entry or group of entries. In addition, the application provides statement of account information to assist with account reconcilement functions. Master account holders can view activity for their own account, subaccounts, respondents, and affiliates, with appropriate authorization. Subaccount holders can view a sub-set of activity for their own account, respondents, and affiliates, if authorized. Subaccount holders can also view activity in the master account, if authorized. The Federal Reserve also provides other systems, such as the Account Management Information application and Cash Management Services to assist account holders. These and other features of the reporting and pricing system is described in a user guide made available by the Federal Reserve.